The present invention relates to an automatic check card issuing apparatus to which is connected or mounted a check card drawing apparatus owned by a client so as to enable automatic issuance of check cards by recording and inputting the prescribed data.
In conventional commercial transactions, settlement is by cash, and by checks drawn on a current account in a bank, etc. Users of such checking system enjoy its advantages. From the standpoint of banks, however, such system involves a vast amount of complicated clerical procedures, and a number of negotiation checks pose a bottleneck in rationalizing the banking business.
We will now briefly refer to the procedure for handling checks at a bank, etc. A user such as a firm or an entreprenuer opens a current account with a bank based on which the bank issues a check book containing a number of checks printed with the user's account number (including the bank and branch codes) by means of, for example, magnetic ink character recognition (MICR). The user draws a check by writing a sum of money by hand or by a check-writer. The recipient then submits the check to a clerk at his/her bank to be deposited in his account. The bank first records all such checks on a microfilm and then print thereon the respective amount using an MICR encoder. The checks then are sorted out into their own checks and other bank checks. Those checks issued by other banks are stamped for clearing and are brought to a regional clearing house to which the bank (or branch) belongs. Checks from different banks collected at the clearing house are sorted out according to banks by means of an MICR reader/sorter, and a balance sheet of different banks is also made. Each bank takes back its checks and confirms the balance of the drawer's account. This is done within a predetermined period of time (i.e., one day after clearing). For the cases with insufficient fund in the account during this period, the bank which received such checks is notified of the conditions so that the amount thereof is credited to the bearer's account. Upon expiration of such period, the drawn amount is automatically credited to the bearer's account in other cases and the bank concerned settles payment according to the balance sheet mentioned above. As for the own checks issued by themselves, the fund of the drawer's account is confirmed by means of an on-line system and if sufficient, the check is honored and credited to the bearer's account.
Thus the conventional process of check drawing or negotiation involves a vast amount of complicated procedures including several steps of mechanical as well as manual banding. There is also a risk of illicit use if the check book is lost or stolen unless the loss or theft thereof is reported to the bank immediately. In addition to securing safe keeping of the checks, it is also desirable for the customers of financial institutions using checks to automatically and simply draw a check card without involving manual handling. Automation of check card issuing system reduces the amount of operation at financial institutions, and offers an advantage to the customers that they can draw a check at any time.